What is a Heat Pump Hot Water System?






In Australia, heat pump hot water systems make up roughly 3 percent of water heaters currently in use. By the time the 2012 product profile came around, there were around 18 brands featuring over 80 separate models of heat pump hot water systems available on the market in Australia.

It is clear to see that heat pump hot water systems are currently seeing an uprise. This will likely continue on for a long while.

What Is a Heat Pump Hot Water System?

Heat pump hot water systems are handy units that absorb warmth from the surrounding air and transfer it into hot water. They are often referred to as air-source heat pumps because of this. Heat pump hot water systems operate on electricity.

However, they are roughly three times more efficient than your usual electric water heater. When they are used in their ideal environment, they successfully save energy, reduce greenhouse gas emissions, and save money.

How Heat Pump Hot Water Systems Work

To extract the heat from the surrounding air, heat pump hot water systems use a unique refrigeration cycle. An insulated storage cylinder is then used alongside a heat exchanger to effectively heat the water. While these systems have been compared to reverse-cycle air conditions, they differ quite a lot.

Instead of running on a heat cycle, they heat water instead of the air in your home. Heat pump hot water systems don’t have a gas or electric boosting system, unlike solar hot water systems. They also use around 60% to 75% less electricity than your usual hot water system.

his is mainly due to the fact that the electricity used to operate the pump doesn’t heat with a direct element. Usually, heat pump hot water systems are installed outside the house on the ground. In some unique circumstances, they can be installed indoors.

This poses an advantage compared to solar water heaters. This is because collector panels do not need to be installed on the roof which makes installation far easier. Keep in mind, your heat pump hot water system must be installed in a well-ventilated area with access to a stream of air when operating.

You will need to find out what type of hot water system works best for you.

The Pros and Cons of Heat Pump Hot Water Systems

Here are some of the top pros and cons of heat pump hot water systems for you to consider.


  • To assist you on cold days or in high demand times, booster options may be available
  • They are a far more efficient electric options
  • Heat pump hot water systems are one of the best energy-efficient options on the market
  • Incentives and government rebates can be offered at times


  • Servicing costs can be high
  • Will need to be installed in a specific setting
  • Best suited to warm climates
  • Can be noisy

If you’re in the market for a new water heater, you need to do your research. Sure, you can stick to a budget, but there are so many changes and improvements to be considered. On average, homes spend between $400 to $600 on water heating annually.

This can account for around 14-16% of your total utility costs. With the right hot water system for your home, you could bring that number down drastically.

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